{"id":228171,"date":"2025-07-31T09:30:00","date_gmt":"2025-07-31T13:30:00","guid":{"rendered":"https:\/\/ibkrcampus.com\/campus\/?p=228171"},"modified":"2025-08-01T03:35:48","modified_gmt":"2025-08-01T07:35:48","slug":"microsoft-and-meta-shine-with-halo-effect","status":"publish","type":"post","link":"https:\/\/www.interactivebrokers.com\/campus\/traders-insight\/securities\/macro\/microsoft-and-meta-shine-with-halo-effect\/","title":{"rendered":"Microsoft and Meta shine with halo effect"},"content":{"rendered":"\n

Briefing.com Summary:<\/strong><\/p>\n\n\n\n

*Microsoft and Meta soared on earnings, sparking strong AI-driven market enthusiasm.

*Broader market sees gains, despite mixed earnings from other major tech names.

*Economic data shows resilient spending and moderating compensation pressures.<\/p>\n\n\n\n

Microsoft (MSFT)<\/strong> and Meta Platforms (META)<\/strong> reported their quarterly results after yesterday’s close. They both blew past estimates, igniting another round of AI growth enthusiasm that is helping to power the equity futures market.<\/p>\n\n\n\n

Currently, the S&P 500 futures are up 59 points and are trading 1.0% above fair value, the Nasdaq 100 futures are up 321 points and are trading 1.4% above fair value, and the Dow Jones Industrial Average futures are up 90 points and are trading 0.2% above fair value.<\/p>\n\n\n\n

Microsoft is up 8.5% in pre-market trading, and Meta Platforms is up 11.2%. Those two stocks have a lot of pull on the market cap-weighted indices, and they are pulling alright. They aren’t alone, however.<\/p>\n\n\n\n

Roblox (RBLX), Carvana (CVNA), Impinj (PI), eBay (EBAY)<\/strong>, and Biogen (BIIB)<\/strong> are a handful of stocks that are also seeing robust gains in pre-market trading. There are some others, though, like Qualcomm (QCOM), Arm Holdings (ARM)<\/strong>, and Lam Research (LRCX)<\/strong>, that are getting hit with selling pressure after their reports.<\/p>\n\n\n\n

Nonetheless, the Microsoft-Meta halo effect is outshining those dim showings, with reports from Amazon.com (AMZN)<\/strong> and Apple (AAPL)<\/strong> on tap after the close.<\/p>\n\n\n\n

The earnings news is just one slice of the equity futures trade, albeit a large slice.<\/p>\n\n\n\n

Other pieces of the bullish-minded pie include the news that the U.S. and South Korea have reached a trade deal in front of the August 1 deadline, a contention by Treasury Secretary Bessent that the U.S. has the makings of a deal with China, even though he thought it was a bit premature of Chinese officials to insinuate that there will be a 90-day extension of the tariff pause that expires August 12, and some otherwise pleasing economic data:<\/p>\n\n\n\n